Bitcoin News Today: Institutional Capital Flocks to Zero-Cost XRP ETFs, Leaving Altcoins Behind

Capital is increasingly consolidating around Bitcoin as altcoin liquidity evaporates, with institutional flows and market dynamics reshaping the crypto landscape. XRP-based exchange-traded funds (ETFs) have surged ahead of their Solana and Bitcoin counterparts, attracting $644 million in inflows during November 2025, according to DLNews. This trend reflects a broader shift in risk appetite, as investors rotate into regulated, low-cost alternatives amid a market dominated by outflows and defensive positioning.

The XRP ETF phenomenon, led by Franklin Templeton's zero-cost XRPZ fund and Grayscale's GXRP, has accelerated capital accumulation at a pace outstripping Solana's month-long $568 million haul. Franklin's 0.19% fee waiver-fully subsidized for the first $5 billion in assets until May 2026- has positioned the product as a "zero-cost carry trade" for institutional allocators, driving a $164 million surge on November 24. By contrast, Solana ETFs, which initially set the pace with 20 consecutive days of inflows, have struggled to reverse the token's 30% price correction, with flows acting as a dampener rather than a catalyst.

The liquidity vacuum in altcoins is further underscored by CoinShares' withdrawal of its staked Solana ETF application in November 2025. The firm cited an unexecuted structuring deal and no shares sold, highlighting the challenges of securing institutional-grade altcoin products in a regulatory gray area. Meanwhile, South Korea's Upbit exchange reported a $36 million hack linked to North Korea's Lazarus group, exacerbating volatility in Solana-based assets as hot wallets were compromised.

Bitcoin's dominance has been reinforced by a $15.4 billion options expiry on December 1, 2025, creating a volatile environment with max pain levels at $100,000 for BTC and $1,400 for ETH. Despite a 6% single-day drop in Bitcoin prices to $85,778, the asset remains the primary haven for capital fleeing altcoin underperformance. On-chain analysis from Glassnode notes that XRP's recent breakout above $2-supported by ETF-driven demand- has transformed historical resistance into an accumulation floor, with funds absorbing $50–100 million daily.

The market's structural shift is evident in product strategies. CoinShares, preparing for a U.S. listing, has pivoted to active management and thematic baskets, abandoning single-asset ETFs as commoditized. Bybit's liquidity farm, meanwhile, offers DeFi yield without wallet complexity, targeting mainstream users with 100–600% APYs. These innovations underscore a broader industry recalibration toward capital efficiency and institutional-grade offerings.

As 2025 closes, the race for crypto market share hinges on pricing power and regulatory alignment. XRP's $587 million inflow milestone and Bitcoin's resilience suggest a reordering of risk premiums, with altcoin liquidity increasingly concentrated in high-utility, low-cost vehicles. Analysts project XRP ETFs could reach $2 billion in assets by year-end, provided fee waivers sustain institutional demand.